By Sarah Sloat
FRANKFURT--German Steel maker Salzgitter AG (SZG.XE) said
Thursday that its pipe-making joint venture has received
notification from South Stream Transport BV to halt production of
steel tubes for the South Stream pipeline through Jan. 1, but the
notification isn't the end of the project.
The joint venture with Dillinger Huettenwerke, Europipe GmbH,
expects to receive more information on the suspension by
January.
Russian President Vladimir Putin threw the pipeline--meant to
carry natural gas from Russia to Europe--into doubt earlier in
December. Italian oil services company Saipem SpA (SPM.MI) received
a similar notice earlier in December.
Up until now, production has gone according to plan, Salzgitter
said. The standstill, customary for the public holidays over
Christmas, had in any case been factored into the plans, it
said.
Write to Sarah Sloat at sarah.sloat@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires